The Swiss Funds Association reflects on demanding but successful 2012

Dr. Matthäus Den Otter Opalesque Industry Update - 2012 proved to be a demanding but successful year for the
Swiss Funds Association (SFA). The Association celebrated its 20th anniversary, and focused on
the partial revision of the Collective Investment Schemes Act (CISA) and the new asset
management strategy.

There was no shortage of challenges for the fund and asset management industry in 2012, with
examples including the euro crisis, hesitant investors, and the glut of regulation. In this
demanding environment for the financial sector as a whole, the SFA was actively involved in
ensuring that the industry increasingly stands together and speaks as one. “It is only with this
unity that our concerns will be noticed and taken on board by politicians and the authorities. The
particular highlights I would mention from the past year were the successful conclusion of the
partial revision of the CISA, and the drawing up of the strategy on asset management. The
focus now must be on consistently seizing the opportunities they open up,” said SFA President
Martin Thommen.

The SFA also celebrated its 20th anniversary last year. It was founded in Bern in 1992 as the
Swiss Investment Funds Association. “The founders laid the basis from which the SFA has
grown to become established and recognized both in Switzerland and internationally as the
association representing the interests of collective investment schemes and their asset
managers,” said Dr. Matthäus Den Otter, CEO of the SFA.

The following themes will be at the forefront for the SFA in 2013:

Representing the interests of the fund and asset management industry in influencing the
implementation of the partial revision of collective investment schemes legislation (act
and ordinances) in supervisory practice, both in terms of regulation and self-regulation

Working together with partners on the ongoing development of the strategy for asset
management in Switzerland, and positioning the SFA as the representative of the
interests of all asset managers of collective investment schemes

Focusing lobbying with regard to regulatory and tax matters on upcoming legislative
projects, in particular the Swiss Financial Services Act

As of the end of 2012, there were 7,500 collective investment schemes authorized for public
sale in Switzerland (2011: 7,461), of which 1,382 were products under Swiss law (1,403) and
6,118 foreign-law products (6,058). The volume of assets placed in funds authorized by FINMA
increased by around 13% to CHF 712 billion (compared with CHF 631 billion in 2011). Fund
volumes are thus back at their highs, underscoring the trust clients have in investment funds.

The SFA had two main areas of activity in Switzerland in 2012: the asset management strategy
and the partial revision of the CISA. Switzerland should be developed into a leading location for
asset management in the coming years. This will give the Swiss financial sector a broader base,
supplementing existing business areas and offsetting those that are declining. A joint SBA/SFA
working group drew up a corresponding white paper last year highlighting eight areas requiring
action: 1. Establish asset management as a brand, 2. Develop and apply standards for asset
management; 3. Ensure adequate supervision; 4. Improve market access; 5. Promote the right instruments and structures for asset management; 6. Create an excellent tax environment
(including various levies) for investors; 7. Strategically build up infrastructure; 8. Offer specific
training.

The activities surrounding the partial revision of the CISA have placed a heavy workload on the
SFA over the past two years. In 2012, the focus was on actively contributing to the
parliamentary debates. The SFA regards the solution passed by parliament as a balanced
compromise between investor protection, market access, and competitiveness. The
amendments that were made took on board various points raised by the industry aimed at
ensuring that the CISA can make a substantial contribution to strengthening asset management
as a key mainstay of the Swiss financial sector.

Board of Directors expanded

In March 2012, Felix Haldner, Partner and member of the Executive Board at Partners Group,
was elected as an additional member of the SFA Board of Directors. As a representative of one
of the leading asset managers operating independently of banks and insurance companies, he
will make a significant contribution toward further strengthening the SFA’s position as a
representative of the Swiss asset management industry.